SB2220.DOC

SECTION 1. Chapter 397, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§397- Boiler and elevator special fund; establishment; purposes. (a) There is established in the state treasury the boiler and elevator special fund, into which shall be deposited all fees collected pursuant to section 397-5 and appropriations from the legislature. All interest and investment moneys earned on any moneys in the special fund shall become part of the special fund.

(b) The purpose of the special fund is to provide for sufficient operating costs to carry out the purposes of this chapter. Moneys in the fund may be expended for:

(1) Personnel and operating expenses;

(2) Staff training and staff certification fees and expenses;

(3) Preparation and dissemination of public information on safe installation and use of equipment regulated by this chapter;

(4) Preparation of annual reports to the legislature as required by this chapter; and

(5) Reimbursement to the general fund over a five-year period to pay back the original start up appropriation.

(c) The director shall submit a report to the legislature on the status of the boiler and elevator special fund, including expenditures and program results, not less than twenty days prior to the convening of each regular session."

SECTION 2. Section 397-5, Hawaii Revised Statutes, is amended to read as follows:

"§397-5 Fees. (a) The director may prescribe reasonable fees to be charged for inspection, examination, other services rendered and for permits, certificates, or licenses, the issuance of which are required by this chapter or by any rule or regulation of the department promulgated pursuant to this chapter, and for:

(1) [~~Inspection~~] Inspections by the department of any boiler, pressure system, amusement ride, and elevator and kindred equipment for which a permit or certificate is required for its installation, operation or use and which is required to be inspected by this chapter or by any rule or regulation of the department; and

(2) Examination of any person applying for permits, certificates or licenses as required by this chapter or by any rule or regulation of the department.

(b) All fees received by the department pursuant to this section shall be paid into the [~~general fund of the State.~~] boiler and elevator special fund.

(c) Effective July 1, 2012, the fees for inspections, permits, and examinations of boilers, pressure systems, elevators, and kindred equipment shall be as prescribed by the schedules in this section until the director adopts rules pursuant to chapter 91 to amend the fees specified in this section.

SCHEDULE A: Boiler and Pressure System Fees

Installation, repair and alteration permit fees:

(1) Power boilers shall pass a hydrostatic test unless indicated otherwise:

Miniature electric (no hydrostatic test required) $190

Less than 500 square feet of heating surface $250

Greater than or equal to 500 and less than or equal to 3000 square feet of heating surface $400

Greater than 3000 square feet of heating surface $750

(2) Heating boiler $190

Retrofit $160

(3) Pressure vessel $175

Retrofit $130

(4) Sterilizers and steam kettles $150

Retrofit $110

(5) Repair application fee $200

(6) Alteration application fee $500

Examination and License Fees:

(1) Boiler Inspectors certificate of competency examination fee $300

(2) Review of shops and facilities for the issuance of National Board or ASME certificates of authorization $1,500

(3) Review of shops and facilities for the issuance of Non-Boiler External Piping (NBEP) certificate of authorization $750

(4) Boiler inspector's Hawaii Commission, Initial and renewal $75

Internal and External Inspection Fees:

(1) Power boilers:

Without manholes $150

With manholes but not over 3,000 square feet of heating surface $180

With manholes greater than or equal to 3,000 and less than or equal to 10,000 square feet of heating surface $260

With manholes and over 10,000 square feet of heating surface $450

(2) Heating boilers:

Hot water supply $130

Steam and water heating without manholes $110

Steam, over 100 but not over 500 square feet of heating surface $140

All with manholes and steam over 500 square feet of heating surface $170

(3) Pressure vessels:

Routine inspections $65

Internal for air or water service $130

Ultrasonic testing $130

(4) For all other types of inspections an hourly fee is assessed $100

(5) Hydrostatic test $300

(6) School "specials" (non-code objects) $10

Reports and Permit Processing Fees:

(1) Report and permit $25

(2) Permit reprint $20

(3) Signed permit card (old issue) $10

(4) Owner portal $5

SCHEDULE B: Elevator and Kindred Equipment Fees

Installation and Alteration Permits:

(1) Alteration involving only the replacement of up to two parts such as a valve, a jack, or a cylinder $150

(2) Alteration involving only cosmetic changes such as car interior modernizations $300

(3) Alterations of more than two parts, or components, and/or subsystems:

1 – 3 floors $600

4 – 9 floors $650

10 – 19 floors $700

20 – 29 floors $750

30 – 39 floors $800

40 or more floors $900

(4) Where alterations to four or more units at the same location are identical, the fee for each additional alteration permit shall be reduced by 50 per cent. The applications shall be submitted at the same time to qualify for the fee reduction.

(5) Installation of new elevators (including material lifts) and kindred equipment:

Dumbwaiter $500

Escalator, moving walk, or moving ramp $500

Hand elevator, manlift, or stage lift $500

Wheelchair or stairway lifts $500

Elevator, 1 - 3 floors $600

Elevator, 4 - 9 floors $650

Elevator, 10 - 19 floors $700

Elevator, 20 - 29 floors $750

Elevator, 30 – 39 floors $800

Elevator, 40 or more floors $900

Aerial tramways $900

Personnel hoists $250

Inclined tunnel lifts $500

For elevators, such as observation or deep well elevators, which have considerable rise but few openings, each ten feet of vertical rise shall be considered one floor in determining installation or alteration permit fees.

(6) Temporary use permits (construction car) $450

(7) For each valid alteration or installation permit, the department shall provide one inspection per unit.

(8) The fee for each additional inspection or witnessing of tests, or both, shall be $300 per day for up to two hours and $600 per day for more than two hours if during the normal workday. Fees for overtime hours shall be $600 per day for up to two hours and $1,200 per day for more than two hours.

(9) Each installation or alteration permit shall be valid for up to one year from the date of issuance.

Inspection Fees:

(1) Permit renewal inspection fees:

Amusement ride $100

Dumbwaiter $140

Escalator, moving walk or moving ramp $150

Hand elevator, manlift, or stage lift $150

Wheelchair or stairway lifts $150

Hydraulic elevator – holed $150

Hydraulic elevator – holeless $200

Traction elevator:

1 - 3 floor rise $225

4 - 9 floor rise $250

10 - 19 floor rise $275

20 - 29 floor rise $325

30 - 39 floor rise $400

40 or more floor rise $475

Aerial tramways $400

Personnel hoists $175

Inclined tunnel lifts $220

(2) Safety, Load or Internal Test (Witness Fees):

3-year safety test $200

5-year safety test $300

Escalator internal $100

(3) Permit renewal and witness fees are per inspection, which may constitute one day or part of the day. If the inspector has to return on another day or at another time within the same day, additional fees shall be assessed at the rate of $300 per day for up to two hours and $600 per day for more than two hours. Fees for overtime hours shall be $600 per day for up to two hours and $1,200 per day for more than two hours."

SECTION 3. Section 397-8, Hawaii Revised Statutes, is amended by amending subsection (e) to read as follows:

"(e) Civil penalties owed under this chapter shall be paid to the department and deposited into the general fund. Civil penalties owed under this chapter may be recovered in a civil action in the name of the department and the State brought in the district or circuit court for the circuit where the violation is alleged to have occurred or where the owner, user, contractor or vendor has the owner's, user's, contractor's, or vendor's principal office."

SECTION 4. (a) The director may establish ten additional positions, subject to chapters 76 and 89, Hawaii Revised Statutes, to carry out the purposes of chapter 397, Hawaii Revised Statutes. The positions may include a branch manager, up to the equivalent of six full-time elevator inspectors, one boiler inspector, and two office assistants.

(b) To enable the hiring and retention of quality inspectors and supervisory personnel, the director shall have the authority to set compensation, incentives, and other working conditions that may differ from that administered by the department of human resources development. The appropriate collective bargaining unit shall be consulted prior to implementing any changes to working conditions.

SECTION 5. There is appropriated out of the general revenues of the State of Hawaii the sum of $1,000,000 or so much thereof as may be necessary for fiscal year 2012-2013 for start-up costs to be deposited to the credit of the boiler and elevator special fund.

The sum appropriated shall be expended by the department of labor and industrial relations for the purposes of this Act. SECTION 6. There is appropriated out of the boiler and elevator special fund the sum of $2,900,000 or so much thereof as may be necessary for fiscal year 2012-2013 for the department of labor and industrial relations to carry out the purposes of this Act, including the hiring of necessary staff.

The sum appropriated shall be expended by the department of labor and industrial relations for the purposes of this Act.

SECTION 7. Statutory material to be repealed is bracketed and stricken. New statutory material is underscored.

SECTION 8. This Act shall take effect on July 1, 2012.

INTRODUCED BY:	_____________________________

THE SENATE	S.B. NO.	2220
TWENTY-SIXTH LEGISLATURE, 2012
STATE OF HAWAII